Microvast Holdings Outlook: A Bearish Technical Profile and Mixed Analyst Outlook

Market SnapshotTakeaway: Microvast Holdings (MVST.O) is under pressure with a recent price decline of -11.47% and bearish signals dominating the technical outlook.

News Highlights

Recent news includes updates on major tech companies and broader economic developments, though few directly impact Microvast. Notable stories include: Texas Instruments (TXN) at Bernstein Conference: A strategic discussion highlighted growth and capacity expansion in industrial and automotive sectors. While not directly affecting Microvast, it points to broader semiconductor industry momentum. First Human Use of Remanufactured da Vinci Xi® Robotic Instruments: This development in surgical robotics signals growing interest in remanufactured medical equipment—a potential long-term opportunity for battery and component suppliers like Microvast. Vodafone Idea's Rs 20,000 Cr Fundraising: This move to strengthen financial position reflects broader economic challenges in telecom—potentially a sign of a more cautious investment climate in emerging markets.

Analyst Views & Fundamentals

The analyst landscape for Microvast is mixed. Only one analyst, Amit Dayal of HC Wainwright & Co., has issued a Strong Buy rating in the last 20 days. This gives the simple average rating of 5.00 and a performance-weighted average rating of 2.75, suggesting that while there is optimism, it is not widely shared or strongly supported by historical accuracy.

The price trend is downward (-11.47%), and the weighted expectations align with the negative price movement. Analyst ratings, however, show some dispersion with only one active voice in the recent period.

Key fundamentals are as follows, with internal diagnostic scores (0-10) in parentheses:

Revenue-MV: -0.329 (Score: 2) ROA (%): -4.66% (Score: 2) Annualized Return on Equity (%): -16.36% (Score: 3) Net Profit Margin (%): -13.82% (Score: 2) Annualized Net Profit Margin on Total Assets (%): -6.21% (Score: 2) ROE (Diluted) (%): -12.78% (Score: 3) Asset-MV: -0.446 (Score: 2) Cash-MV: 0.194 (Score: 2)

With a fundamental score of 4.28, the company shows some signs of strength in cash position but is weak in core profitability and return metrics. Investors should watch for potential earnings surprises that could shift this narrative.

Money-Flow Trends

Big-money flows are negative, with large, extra-large, and medium institutional investors all showing outflows. The block inflow ratio is 0.472, meaning there is still some buying pressure from large players, but not enough to offset the broader decline. Smaller investors also show a negative trend, with an inflow ratio of 0.492, suggesting that retail sentiment is bearish as well.

Despite the weak price trend, the fund flow score of 7.58 (internal diagnostic score, 0-10) suggests that this is a good sign of liquidity and possibly a setup for a rebound. Investors may want to monitor whether this buying pressure becomes more visible in the coming weeks.

Key Technical Signals

Technical indicators paint a weak picture for Microvast, with an internal diagnostic technical score of 3.83 (0-10). The key bearish indicators include: RSI Oversold (Score: 3.38): Indicates a potential bounce, but not a strong reversal. WR Oversold (Score: 2.55): Suggests weak buying interest. Bearish Engulfing (Score: 1.87): A strong bearish reversal pattern recently confirmed on 2025-12-08.

One bullish signal stands out: WR Overbought (Score: 7.5): Suggests a strong bullish bias, though this was observed on 2025-12-05, and the stock has since sold off.

Recent chart patterns from Dec 5 to Dec 12 include multiple bearish and oversold signals, with the Bearish Engulfing pattern being particularly noteworthy. The WR Oversold and RSI Oversold indicators have been recurring, highlighting a lack of conviction in the current price movement.

Overall, the technical side is weak and suggests avoiding for now due to unclear momentum and a dominance of bearish signals (3 bearish vs. 1 bullish).

Conclusion

Microvast Holdings remains in a bearish technical environment with no clear path to a reversal. While institutional inflows are still present, the price trend is down by 11.47% and analyst confidence is limited to a single Strong Buy rating. The fundamental score of 4.28 and technical score of 3.83 (both internal diagnostic scores, 0-10) suggest the stock is in a weak phase.

Actionable Takeaway: Investors should consider waiting for a clear reversal signal—especially a follow-through in volume on a breakout of the recent lows—before taking a position. For now, consider holding off and watching for upcoming earnings or broader sector catalysts that could shift momentum.